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whether he should face mandatory indictm t indictment. an issue involving the relocation of the u.s. marine corps futenma air station in okinawa also had a negative impact on the hatoyama government. the former prime minister vowed to transfer the american base outside okinawa during last year's election campaign. but last may he reversed his position. hatoyama had essentially sided with japan's biggest ally, the united states. the two countries agreed to relocate part of futenma to u.s. camp schwab, also in okinawa. the agreement prompted the social democrats to quit the democratic party's coalition government. by this time the approval rating for hatoyama's cabinet had fallen to 21%. some democratic party members became nervous because japan's upper house election was just around the corner. hatoyama stepped down together with ozawa to help the dpj regain the public's trust. with hatoyama gone, naoto kan took over, become's japan's fifth leader in just four years. but he's the first one that doesn't come from a political family. kan tried to distance himself from ozawa to show the
>>> this is "newsline." welcome. glad you could join us on this edition. it's friday september 3rd, 11:00 a.m. in tokyo. i'm catherine tokobayashi. we first go to ines matsuyama, who has the latest in business news. ines? >> thanks, catherine. hello. >>> in japan's manufacturing sector capital spending fell over 10% from april through june compared with a year ago. the finance ministry surveyed more than 23,000 firms with capital of at least $120,000. the survey shows that investment on plant and equipment cross all industries except for finance and insurance fell by 1.7%. looking in detail, the manufacturing sector plunged 10.5%, while non-manufacturers saw a rise of 3.4%. looking at earnings, the survey shows that sales and profit in both manufacturing and non-manufacturing sectors rose. the drop in capital spending for makers stands as a cautious stance at business prospects. >>> tokyo stocks extended their gains friday morning following a rise in new york. the nikkei ended the morning session at 9,097 points, up 0.4%, or 35 ticks almost. investors took their cue from a slightly
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